What leadership styles dominate at Southwest and Novo Nordisk? What could each company learn from each other? Cite examples to support your opinion.
Southwest and Novo Nordisk companies follow different leadership styles which depend on the peculiarities of their organizations. It is possible to say that the path-goal view of leadership dominates in Southwest. According to this model, “the leader’s key function is to adjust his or her behavior to complement situational contingencies, such as those found in the work setting” (Schermerhorn et al., 2010, p. 300).
Thus, the leaders of Southwest try to find the balance between the work goals and personal goals with concentrating on the aspects of supportive and participative leadership which include consulting subordinates while making decisions (About Southwest, 2012).
Novo Nordisk leadership style can be discussed according to the Hersey and Blanchard Situational Leadership Model. The leaders of the company can choose the best variant of behavior according to the situation. They use the delegating leadership style in many situations. According to this style, the leaders of the company allow “able and willing followers to take responsibility for what needs to be done” (Schermerhorn et al., 2010, p. 303). Novo Nordisk’s heads realize their leadership with basing on the question of responsibility, economic benefits, and long-term profitability of their actions according to the situational leadership model. This situational approach can also be effective for Southwest Airlines.
How does each company’s leadership influence its organizational culture, promote its innovation program, and shape its competitive strategy?
Following the principles of participative and supportive leadership, the leaders of Southwest develop the organizational culture in the company. Thus, they respect their employees and their ideas, pay attention to their visions and interests with creating an atmosphere of positive motivation. Novo Nordisk’ leadership style contributes to the development of the employees’ motivation and initiatives. The main objectives are put on the progress of the company with the help of each employee and his responsibility (Schermerhorn et al., 2010).
Describe each company’s philosophy about the transformational change, planned and unplanned change, and the strategy they have used to create change. How has planned or unplanned change affected their culture?
It is possible to state that the main successes of Southwest depended on the effective leadership of Herb Kelleher who motivated the employees to provide the best results of work. Possible changes in the organizational culture are connected with the figure of Gary Kelly and with changing the principles of leadership (About Southwest, 2012). Novo Nordisk’s most influential changes are connected with the ‘defeat diabetes’ strategy, which altered the company’s approach to acting in the market. It can be considered as the transformational change, which was realized because of the effective leadership (Novo Nordisk, 2012).
Can Gary Kelly keep Southwest moving forward in the turbulent environment of the airline’s industry? Why or why not?
Gary Kelly can be considered as a successful manager and leader with his ability to face such challenges as keeping the operating costs low in order to address the customers’ expectations, providing the high level of competitiveness within the industry, and following the effective type of the organizational culture (Schermerhorn et al., 2010).
How might Novo Nordisk’s cultural expectations and leadership enhance or limit their success?
Novo Nordisk is famous for its successful strategy to address the customers’ expectations and creativity in making the necessary decisions. Moreover, Novo Nordisk can be considered as the company which focuses on providing the innovations within the industry depending on the Triple Bottom Line (Novo Nordisk, 2012). This fact emphasizes its popularity with its customers.
References
About Southwest. (2012).
Novo Nordisk (2012).
Schermerhorn, J. R., Hunt, J. G., Osborn, R. N., & Bien, M. U. (2010). Organizational behavior. Hoboken, NJ: John Wiley & Sons, Inc.